Loan renewals extend the terms of your loan. Renewal policies vary from lender to lender. Study the lender's policy before signing the loan contract. The cost of renewal may add unwanted pounds to the end price of your loan, especially when coupled with late fees and interest rates.
Loan advances should be used for short-term financial needs only, not as a long-term financial solution. Extensions are not automatically granted, and lenders will consider your extension request based on the information you provide and your current financial situation.
In most cases when extending a loan, The lender's finance charge for the original loan must be paid on the original due date. Your loan principal will then be deferred until your following pay date along with an additional finance charge. However, we suggest you pay as much of your principal as possible on your original due date to reduce further charges.